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Theresa May has refused to rule out a new 'death tax' to fund social care as she said her party will not "duck tough decisions" if elected back into Government.

The Prime Minister said voters would have to "wait for the manifesto" when challenged about the prospect of a new levy.

It came amid reports that senior Conservatives are considering extreme new measures to help protect the needs of Britain's ageing population.

Social care is facing a funding crisis Credit:
John Stillwell/PA

Philip Hammond has previously said proposals for social care funding to be considered will not include a tax on estates of the deceased.

However, Conservative officials have told the Financial Times that the Chancellor had been talking only about Labour's version of a flat 10 per cent levy.

Asked about the prospect of a new tax during a visit to Tynemouth yesterday, Mrs May said: "We absolutely recognise the pressure on social care.

An elderly resident at a nursing homeCredit:
John Stillwell/PA

"We do face the challenge of an ageing population and how we ensure that we can provide for that ageing population and we've already - I've always said on social care, I think there are short term, medium term and long term solutions.

"And I'm afraid if you want to know what's in the manifesto, you have to wait for the manifesto. It's a nice try."

She also dismissed suggestions rail services should be nationalised and instead said the privatisation of the network had "led to an improvement" in services.

Mrs May told reporters: "I don't think taking us back to the days of British Rail, and I'm old enough to remember what the services were like in the days of British Rail, it has come on significantly under privatised companies."

She launched a series of personal attacks on Jeremy Corbyn on Friday, as she went to Labour's stronghold in the North East to warn that he was "simply not up to the job" of being prime minister.

Mrs May mocked John McDonnell, the shadow chancellor, as a "maybe, maybe not Marxist" and said that "proud and patriotic" traditional Labour voters were "appalled" by the far-left policies which he and Mr Corbyn had put into the party's manifesto.

Citing claims that the Labour programme would cost every family £4,000 a year, Mrs May joked: "It's a manifesto that is 100 per cent Jeremy Corbyn with costings that are 100 per cent Diane Abbott."